2023 (11) TMI 1423

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....ennai, thereby taken cognizance for the offence under Section 276 C(1) of the Income Tax Act, 1961, as against the petitioner. 2. The respondent filed complaint for the offence punishable under Section 276C(1) of the Income Tax Act, for the assessment year 2017-18. The crux of the complaint is that the petitioner is an assessee. During the course of election expenditure monitoring for the State legislative assemble election of Tamilnadu, 2016, on information, a search was conducted under Section 132 of the Income Tax Act, on 24.04.2016, at the residence of the petitioner. During the course of search, they found cash of Rs. 4,93,84,300/- and the same was seized from his residence. On the same day, a sworn statement was recorded on oath un....

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....ndia reported in 2016 (9) SCC 647 in the case of Babita Lila Vs. Union of India, and held that the Deputy Director of Income Tax (Investigation) is incompetent to lodge a complaint. 3.1. He also submitted that the petitioner approached the Settlement Commissioner and by an order dated 26.11.2019, the Principal Commissioner of Income Tax accepted the income shown by the petitioner to the tune of Rs. 6,80,77,000/- for the assessment year 2016-17. It is more than the amount which was allegedly seized from the residence of the petitioner. It was duly accepted by the Settlement Commissioner and as such, no prosecution can be initiated as against the petitioner. Further, for the assessment years 2017-18 and 2018-19, notices have been issued un....

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....ent year 2016-17. In fact, settlement application has been filed before the Settlement Commissioner and the same was duly accepted by the Settlement Commissioner. The complaint has been filed for non showing the income for the assessment year 2017-18. If the complaint has been filed for the assessment year 2016-17, then the petitioner easily would have taken a stand that the seized money was the income from the assessment year 2017-18. 7. It is also evident from the settlement application submitted by the petitioner. The complaint was filed in the month of June, 2018. Whereas the petitioner filed settlement application before the Settlement Commissioner only on 07.12.2018. Therefore, the petitioner conveniently had taken stand that the s....